With the news that 41% of Facebook’s revenue is now generated via mobile it was only a matter of time before Instagram was also opened up to mobile advertising. Whilst Instagram has yet to launch an ad program, startup InstaZebra has found a way to run ads across the photo-driven social network as a third party provider. With over 100m Instagram users there is a huge opportunity to develop new commercial models on the platform and emulate the success of advertisers working on facebook. For those with large followings on Instagram this also offers the potential to generate significant revenue from a photo feed.
How it works
InstaZebra has assembled hundreds of popular Instagram accounts across a range of categories and hitting a combined total of 30m Instagram users. The publishers/ Instagrammers earn revenue by posting the ads in their streams. The ads are served in the form of square graphics with text, similar to a standard Instagram post. In addition, advertisers can also buy “paid shouts” to help drive additional followers for their own Instagram accounts and access individual Instagram “influencers” who are willing to post promotional photos or videos supporting commercial services or products. InstaZebra provides support in selecting Instagram accounts to advertise on and negotiating the sale of the ads and offers information such as no. of followers, CPMs and other data for each of the potential accounts to advertise on. The platform also delivers ad analytics, auditing and tracking for advertisers with all information available in an online dashboard.
New Mobile Ad Inventory
InstaZebra is able to offer very attractive rates for mobile ads as it opens up this huge new untapped traffic source:
- low CPMs from $0.07
- low Cost Per Post (average for 100k reach is just $20)
“One of our first advertisers was the iOS/Android app InstaRepost,” . “The ad ran for one week on feeds with a combined reach of 16 million Instagrammers. The free app scored 14,500 new downloads at a total advertiser cost of $4,205, which is just $0.29 per install. To date, we are seeing rates averaging $0.05 per thousand impressions.”
There’s more information about the service available in their media kit which you can check out below via slideshare:
With 100s of mobile ad networks and app promotion services out there it’s great to see something really innovating and offering something a bit different. Instagram could work really well for certain types of advertisers and apps as a promotional channel. For example photo or video-related apps would be an obvious fit. However. given the demographics of Instagram (young, tech-savvy, metropolitan) lots of different types of advertisers could find this to be an effective route to market. As with all new mobile advertising traffic sources, the advertisers who get in early are the ones who benefit the most so it’s definitely recommended to give this a try and see if it works.
You can test out Instazebra as an advertiser or publisher here or contact them at firstname.lastname@example.org